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Governor Brown projects $16 billion budget shortfall

Over the weekend Governor Jerry Brown previewed his May budget revision that will be released today in a YouTube video. Simply put, it isn’t pretty. Brown cited lower than expected tax receipts and court orders blocking billions in budget cuts as the reason for the $16 billion shortfall, almost $7 billion more than anticipated.

“State spending is now at its lowest level in decades. Unfortunately, our work is not finished,” Governor Jerry Brown said. We’re still recovering from the worst recession since the 1930’s—The result is that we’re now facing a $16 billion hole.”

Brown used this opportunity to remind Californians that he has submitted a ballot measure for November to implement short-term tax increases, which along with deep budget cuts, will address the immediate shortfalls and restore health to the state budget.

“We can’t fill a hole of this magnitude with cuts alone without doing severe damage to our schools,” Brown said. ” That’s why I’m bypassing the the gridlock and asking you, the people of California, to approve a plan that avoids cuts to schools and public safety.”

CA Senate President Pro Tem Darrell Steinberg, D-Sacramento

Sacramento Bee reported:

“It’s a daunting number,” said Senate President Pro Tem Darrell Steinberg, D-Sacramento, of the governor’s new deficit estimate. “We’ve dealt with a larger number before, but … the choices are even more difficult this time.” Read more here.

Governor Brown is scheduled to announce his May revision to his budget proposal today.

2)Repeal AB 32 Governor Arnold Schwarzenegger’s “Global Warming Final Solutions Act;” This should end California’s Cap and Trade, the $2 Trillion carbon swap derivatives bubble. CEO magazine names California as the worst business friendly state in the nation; repealing AB 32 would be a step in the right direction.http://www.robertlautenforussenate2012.com >> 1st Glass-Steagall >> Cap and Trade